The Executive Committee dispensed with the reading of the
December 18, 1998, Executive Committee minutes. Ms. Wustenberg moved and
Ms. Christopher seconded the motion to approve the Executive Committee minutes
as submitted. The following voted in favor: Directors Aschkenasy, Christopher
McAllister, Wustenberg, and Imeson. Those voting no: none.

PRESIDENT'S REPORT

President Imeson announced that the work of the Governance and Structure
Committee was nearly complete and that a new Committee, System Strategic
Planning, was formed. Members of the Committee would be as follows: Mr. Willis,
chair; Dr. Aschkenasy; Mr. Koch; Mr. Lussier; Ms. Puentes; and Ms. Wustenberg.
He asked Mr. Willis for a report on the Committee's meeting held prior to
the Executive Committee meeting.

Mr. Willis indicated that the Committee spent most of its time setting a
context for future work. He said that staff will create a matrix of what
the Governance and Structure Committee accomplished to date, as well as tasks
requiring follow up. The next meeting will be held on February 9, via telephone
conference call, he concluded.

Reporting on the Budget and Finance Committee meeting held earlier in the
morning, President Imeson said there was a lot of work to accomplish. "We
need to square the budget model with what's being looked at in the legislature
and we need to be on a fast track to do that," he said, noting that the Committee
intends to work closely with staff on all the campuses.

Mr. Imeson said that the Joint Boards Working Group had convened earlier
in the week to begin discussing the Governor's directive for a partnership
plan by March 1. Mr. Lussier, who is a member of the group, said that work
is becoming more focused and that at least one more meeting will take place
prior to the March 1 deadline.

AUTHORIZATION OF HEARINGS OFFICER

Vice Chancellor Anslow asked for the Executive Committee's approval of naming
Vice Chancellor Clark as hearings officer for a grievance at the UO. The
case involves an employee who is appealing a decision that denied this person's
entry into the System's early retirement program.

"Since this is a Board-established program, we felt it would be appropriate
for the Executive Committee to authorize Dr. Clark as hearings officer in
this case," said Mr. Anslow.

Ms. Wustenberg moved and Ms. McAllister seconded the motion to approve the
authorization of Dr. Clark as hearings officer. The following voted in favor:
Directors Aschkenasy, Christopher McAllister, Wustenberg, and Imeson. Those
voting no: none.

CHANCELLOR'S REPORT

Chancellor Cox announced that the Emergency Board agreed to the recent request
for funds to address the unanticipated increased enrollments at OIT and OSU.
"The message was clear from the leadership. In the new budget model, we will
need to be more efficient with enrollment targets," said Dr. Cox.

Reporting on the activities with the Central Oregon Joint Boards, the Chancellor
said that the group had reached final agreement on a charter for a Regional
Advisory Board. He added that he asked mr. Lussier and Ms. Wustenberg to
become a charter (voting) members of the group, and that Central Oregon Community
College named Robert Le Duc as its board liaison.

Setting the stage for the upcoming discussion with presidents, Chancellor
Cox named Ms. McAllister and Mr. Lussier as two Board members who, in particular,
worked on creating the new guidelines for assessment of presidents and the
Chancellor. He noted that goals and objectives will, from this point forward,
be discussed in the fall for the coming year.

1998-99 GOALS AND OBJECTIVES

WOU--President Youngblood

Dr. Youngblood opened by saying that WOU had an exciting agenda for 1998-99
in three major categories: increasing and enhancing academic excellence;
implementation of a strategic plan; and diversifying and increasing resource
development.

In the first category, Dr. Youngblood shared that staff are looking at all
programs and devising new ones as they relate to the state's need, and assuring
that the teaching/learning environment is enhanced to guarantee student success.
She added that all support programs are being evaluated for effectiveness,
efficiency, and student success. Market penetration is another area of focus,
including an expansion to new market areas and development of partnerships
to attract new students.

The second category, implementation of a strategic plan, has six goals: academic
quality; establishment of a center for teaching/learning; community outreach
and service; improved understanding and awareness of WOU; internal cohesion;
and retention and diversity.

President Youngblood noted that, in regard to the third area of diversifying
and increasing resource development, the University's endowment was nearing
$6 million, with nearly 5,000 people contributing to the foundation. She
added that almost half of a $3 million goal of funds for construction of
a new library has been raised.

Chancellor Cox asked the president for her thoughts on the areas for targeted
enrollment. President Youngblood named several, including the sciences (both
computer and natural), Spanish, history, and political science.

Dr. Aschkenasy suggested that, as part of the discussion of goals and objectives,
the presidents and the Chancellor strive to become very focused, outlining
the specifics for what is hoped to be accomplished in a given year. He added
that the goals and objectives should be tied directly to performance indicators.

Ms. Wustenberg asked Dr. Youngblood about the efforts, both course-wise and
degree-wise, to ready new teachers to help students reach the new state
standards. "The curriculum has been completely redesigned to teach proficiencies;
in fact, we are the only institution in the state to be doing that," explained
Dr. Youngblood. "The students are involved in various classroom settings
beginning in their freshman year," she added.

Ms. Christopher asked about collaborative projects with other OUS institutions.
President Youngblood indicated there were two such programs currently with
PSU: teacher education and criminal justice.

"What kinds of things can we, as a Board, be doing to help you?" asked Mr.
Imeson. Dr. Youngblood responded that providing models and guidance that
assist in the move to greater institutional autonomy, coupled with Board
members' knowledge of the University and ongoing feedback would be of the
greatest importance.

EOU--President Creighton

President Creighton explained that his overall strategy was to make EOU the
selective undergraduate institution in the state within five years. "I want
Eastern to be known for its quality of offerings, its research and internship
opportunities, its overseas opportunities, and students returning something
of themselves to the learning process," he said.

Admitting that the institution was still dealing a bit with the "new kid
phenomenon" since he was still so new in his role as president, Dr. Creighton
said that staff have adjusted well to a new style of leadership.

Ms. Christopher asked about collaborative efforts with other OUS institutions.
"We've been looking at collaborating with PSU in engineering," he shared.
"The goal would be to have students graduate and stay in the region. I'm
encouraged by that."

"What about areas of targeted growth?" asked the Chancellor. Explaining that
the new budget model does not provide a great deal of additional funding
to EOU, President Creighton said that its implementation does expand
opportunities for program growth. He indicated that teacher education, computer
science, multimedia, and engineering are areas of focus. Following up on
an inquiry by the Chancellor, he added that there will be continued pursuit
of a teacher education program in Bend.

Ms. McAllister asked about plans for increasing Eastern's endowment. Dr.
Creighton said that in the past six months, more money has been raised than
in any single year at Eastern. "We've made it a priority and we now have
a good deal of momentum. The University has to contribute to the community,
but the community needs to contribute as well," he observed.

"I've always been impressed by the closeness and caring of students at Eastern,"
said Ms. Wustenberg. "I'd hate to see that lost. At what level of enrollment
do you think you could keep that same 'feel' to the campus?" she asked.

Agreeing with Ms. Wustenberg, President Creighton said that he thought that
a growth of 700-1,000 students would not affect the administrative costs
of running the University, nor would the quality of the students' experience
be jeopardized.

"How does the traditional mission to serve placebound students fit into your
new vision?" asked Mr. Koch.

"We're mining a population that's diminishing, but collaborative relationships
will enhance my vision," said President Creighton. He noted that Eastern's
mission is the only geographically limited mission statement in the country,
based on his research.

Ms. Christopher asked if the president had a specific goal related to technology.
President Creighton explained that the primary concern was the use of ED-NET
versus ED-NET2. "Much of what we send to Bend and what we bring in from OHSU
depends on this, as well as distance education," he said. Dr. Creighton added
that staff are also looking into web-based courses as an alternative, but
explained that he was unsure about exactly what would happen until the issue
with ED-NET was resolved.

In concluding the discussion, President Creighton indicated that he was
overwhelmed by the support of the Board and the Chancellor. "You are a great
group of people to work with," he said.

UO--President Frohnmayer

President Frohnmayer presented his goals and objectives for the year, which
fall under the five overarching goals of the institution: improve the quality
of education; broaden institutional flexibility; attain financial solvency;
conduct innovative outreach; and achieve effective communication with
constituencies.

Two goals that he felt were critically important were to give attention to
post-tenure processes with national norms, and to address coherence in
undergraduate general education requirements. "We have teams that are hard
at work on these issues, and I hope to report back to you in June on our
progress," he said.

Meeting enrollment goals was another high priority item President Frohnmayer
mentioned. "It is ambitious and I am concerned if we can meet those goals.
I know we can meet them in headcount, but I wonder if we can in terms of
FTE." He explained that part of UO's flattening enrollment was due to the
decline in the international market and, particulary, in the Asian economic
market, which cost the UO 275 returning or new students. "We have the capacity
to educate more students, and I believe this is a useful target. The Chancellor
urged us to consider this larger issue--what is optimum enrollment to maintain
character? We will develop recommendations on how we want to grow and what
might be the ultimate size. I do believe there is a limit," said Mr. Frohnmayer.

Other areas highlighted by President Frohnmayer included academic issues;
technology innovations; financial goals, including working to get the new
budget model funded; private fundraising goals; federal grants and contracts;
campus diversity goals; and personal development goals.

Chancellor Cox asked about targeted enrollment goals for the UO. "The sciences
are critically important and are a central part of the liberal arts curriculum,
teacher education, and education--broadly speaking, they are nearing crisis
proportions nationwide," observed President Frohnmayer. "We can't ignore
what the employer surveys tell us; they want people who can think creatively,
are collaborative problem solvers, and have the ability to critically analyze."

"Has the new funding model inspired you to pursue new collaborative System
relations?" asked Ms. Christopher.

President Frohnmayer indicated the UO was investigating what might be done
in Central Oregon under the new model, including work with EOU and OSU on
a broader core curriculum, which may include teacher education, science,
and environmental engineering. "It does cause us to seek new markets
geographically and take chances," he said.

The Chancellor complimented President Frohnmayer on his submission of goals
and objectives. Dr. Aschkenasy added that, while it was a comprehensive report,
it might be too much to compile every year. Mr. Frohnmayer said that he felt
this first document would be the most lengthy, with shorter reports that
build on the initial submission in subsequent years.

Ms. Christopher asked the president if he felt that the UO needed an expanded
presence in Portland in some areas. Noting that the largest UO alumni base
resides in the Portland area, President Frohnmayer said that collaborative,
yet non-competitive expansion in the areas of continuing education and
law-related courses is a priority. He added there is also a significant demand
in the west Portland area for joint business degree programs, and the
collaboration with OSU and PSU at the Capital Center in Beaverton begins
to address that need.

"What do you see as the University's weakness, what are your vulnerabilities,
and who is your competition?" asked Mr. Lussier.

Viewing the faculty salary issue as the UO's greatest weakness, President
Frohnmayer felt that other areas of vulnerability included the need for financial
stability and predictability. "The rewards for entrepreneurial success should
stay on campus; that is all in the new budget model, so our goal as a premier
research institution will continue to be within our reach," he said.

Ms. Wustenberg asked about federal grant contracts, saying that she was curious
how stability would be realized given the erratic nature of them. "The quality
of our research programs are a powerful magnet for continued funding," explained
President Frohnmayer. "There is no substitute for having the very best people,
so we continue to be competitive."

"How can the Board be helpful to you?" asked President Imeson. Mr. Frohnmayer
responded by saying that understanding the goals of the Board would be his
first priority.

SOU--President Reno

President Reno outlined his four primary goals for the year: continue work
with the faculty senate and other campus sectors on SOU's strategic plan
("Focusing our Mission," presented to the Board in May 1998), making that
document the touchstone for service development and budget decisions; enrollment
management; developing the appropriate framework for meeting the Board's
performance indicator requirements as well as those of the accreditors; and
creating an advisory board of "overseers" if the concept is approved by the
Board.

He reported that the $11.5 million capital campaign for the Center for the
Visual Arts was $450,000 short of its goal. As one of his goals, President
Reno explained that an Endowment Campaign Plan for the foundation has generated
good discussion among people on campus, engaging key campus governance groups,
including alumni.

"What about programs targeted for growth?" asked Chancellor Cox.

"You may recall some controversy on our campus for core programs versus hallmark
programs," replied President Reno. "We think hallmark programs can be distinctive
(e.g., theatre), where core are those we want to do the best we can, recognizing
the comprehensiveness to serve our community."

The Chancellor asked where computer science fit in his breakdown of programs.
President Reno discussed a recently completed survey in partnership with
industry in the area that assessed technology needs. These results, he said,
fed into the OUS request for targeted monies this biennium. Dr. Reno explained
there more than 260 high tech industries in the region, yet a number of faculty
have retired in the past couple of years. "We've been sitting down with industry
representatives and asking how we can better meet their needs to match their
talent with our teacher needs. We also talked about joint appointments and
internship programs. It's been a good discussion," he said.

"Has the new funding model inspired you to look at new collaborations?" asked
Ms. Christopher.

President Reno explained several collaborative programs with PSU, including
the delivery of the Master of Social Work degree to Southern, development
of a university colloquium, PSU's educational outcome assessment, and developing
and fine tuning, as partners, a core curriculum.

"We are investigating other opportunities," he continued. "One area we're
looking at is in response to Senator Bryant's request in how to collaborate
with Central Oregon. There are plans to build a center for fine and performing
arts in Bend and we've discussed the idea of taking theatre productions there,"
shared President Reno.

Ms. McAllister asked President Reno to elaborate on his statement in his
goals and objectives regarding the priority performance indicator targets
for bringing two new degree completion programs to off-campus sites. Dr.
Reno said that since Rogue Community College (RCC) annexed with Jackson County,
SOU would aim to increase the number of upper division and graduate programs
off campus and greatly reduce lower division programs. He indicated the priority
programs included business, human services, applied social science, and master's
in management. "We just accepted our second cohort of students into the master's
in management program. That program came about because we really sat down
with the community and talked to them about their needs," he said.

"What is Southern's greatest vulnerability?" asked Mr. Lussier.

"The affects of annexation on enrollment," President Reno observed. Continuing,
he said, "We feel its attributable to enrollment increases at RCC. The other
is in the marketplace. I think SOU is kind of looked upon as the public
equivalent of a private institution. We have to be able to deliver and provide
services that students with those expectations demand. I'm also concerned
about the increase in the cost of technology and how we can keep up with
it."

When asked by President Imeson what he felt the Board might do to better
assist him, Dr. Reno suggested that the discussion of goals and objectives
was a worthwhile exercise, but that perhaps a more informal setting would
be beneficial. "This is brand new for all of us. The budget model is key
to what we are doing. I need support to convince constituencies that this
is the best work. At this point, I have to be able to say Southern is better
off with this new model. We may need some help in the transition. There are
some major changes ahead," he concluded.

PSU--President Bernstine

Rather than reviewing his full report, President Bernstine focused on three
significant issues for the coming year: the new budget model, a campus climate
report, and PSU's fundraising campaign.

He explained that he anticipated spending a good deal of time working with
lawmakers in an effort to fund the new budget model. "Part of the challenge
for me at PSU has been taking on new initiatives or making hard decisions
about where we are headed," said President Bernstine. "I'm looking forward
to having the budget model in place and moving forward."

Initiating a campus climate report shortly after taking over as president,
Dr. Bernstine said that he wanted to determine what the institution does
from the time a student makes an inquiry call to when they receive their
degree, and the overall quality of their experience. Town hall meetings will
be held to determine how to implement the recommended changes. Furthermore,
he said that the recommendations will be used to enhance the new fundraising
campaign for PSU, as successes in fundraising relate to the quality of a
student's experience while at a given institution.

President Bernstine indicated the First Comprehensive Capital Campaign for
PSU was in its early "silent" phase and that a new marketing director was
recently hired. "We'll take a much more proactive approach about defining
who we are," he said. "I view this campaign as a springboard for us to move
to another level, but in some ways, this is a practice run for the next campaign.
I don't think we've been cultivating our alumni and this campaign will force
us to do those things," he said.

Chancellor Cox asked President Bernstine about targeted program enrollment.
Saying that he was targeting about a two percent growth per year, Dr. Bernstine
indicated that the type of future growth will likely relate to the campus
climate report findings. "I hope that we can market ourselves and become
more attractive to students in Oregon who want a quality, urban experience,
but also for out-of-state prospects because Portland is such a safe city."

"Are there new collaborative efforts with other institutions in the System?"
questioned Ms. Christopher. President Bernstine reported that PSU intends
to collaborate with EOU on some engineering programs. He added that, depending
on the outcome of the new budget model and additional resources, he hopes
to look at some joint faculty appointments with OHSU.

Ms. Wustenberg asked about the perceived stance of defensiveness by prior
cohorts at PSU, and if President Bernstine felt that was changing. He replied,
"My sense is that the attitude about the campus is turning around. I think
there is tremendous optimism on campus."

Ms. Christopher asked about the status of athletics at PSU. The president
said that he felt the move to Division I was appropriate, yet it's something
that staff monitors closely. "I'm convinced that a quality athletic program
is important to the life of an institution and the development of an
institution's reputation. Our athletes are graduating and that says a lot
about the caliber of students we attract. The challenge is to convince the
community to support our programs; we need more people in the seats," he
observed.

Mr. Lussier asked President Bernstine to comment on his perception of PSU's
greatest areas of vulnerability and challenges. Dr. Bernstine said he believed
that the institution must maximize on what it has to offer. "Students have
to believe they can get something here that they can't get elsewhere," he
pointed out.

"What can we do to help you achieve your objectives?" asked Mr. Imeson. President
Bernstine shared that the Board has been supportive of him and the institution.
He added that he believed the University community views the Board as supportive
as well.

OIT--President Dow

President Dow expressed her appreciation to come before the Executive Committee
to more clearly articulate her goals and objectives. Noting that enrollment
growth was her main ambition, she explained that beyond the campus in Klamath
Falls, the OIT Metro Center and the University Center in Bend were her top
priorities for expansion.

Explaining her philosophy on partnerships with OUS institutions and community
colleges statewide, Dr. Dow said that industry partnerships were also becoming
increasingly valuable. She described an internship program with Boeing in
which nearly 80 students participate. "We have the potential for 100 new
students for this program, but it is challenging in that we need to monitor
delivery mechanisms and the quality of teaching very closely. We will have
an accreditation team visiting Boeing next fall," she reported.

When discussing specific figures for growth, President Dow indicated that
she aims for a benchmark headcount of between 2,800-2,900 by fall 1999 and
3,000 by fall 2001. "We're going to get there through expansion of our on-site
programs with a couple of industries in the state, and also by enhancing
our transfer plan with community colleges," she said.

Dr. Dow went on to say that she intends to propose a new applied science
degree that would better articulate with community colleges. "I want to maintain
the Accreditation Board for Engineering and Technology (ABET) programs, but
would like another avenue for transferring community college students that
would not require them to start over."

Chancellor Cox explained that this effort by Dr. Dow was somewhat pioneering,
to develop components of a state college generically, while keeping ABET
elements. "She is growing this institution where it can grow, and the faculty
have come along," said the Chancellor.

In the area of retention, President Dow reviewed her plans for a 50 percent
increase by 2005. To accomplish that goal, Dr. Dow listed activities for
the coming year, including student success seminars, improving student services,
and a new Title III grant, which would all move that effort forward.

"I have a sincere desire to bring more opportunities to Bend in health
technologies," said Dr. Dow. "The concept of a technology center, and the
kinds of programs OIT could expand into, are topics expected to be discussed
with COCC President Barber at a meeting later in January," she reported.

"In what programs are you targeting growth?" asked the Chancellor. She replied
that computer software, manufacturing, and mechanical engineering were three
of her top priorities. Continuing, President Dow shared that she participated
in meetings the week before with OCCS Commissioner Bassett, where negotiations
are underway to initiate a technology center in the Medford area. Concluding
her outline of efforts for growth, she said that if the financial components
were not in place to initiate programs, they would not happen.

"We have spent down our reserve to $50,000 and we want to build it back,"
said Dr. Dow. "We are in desperate shape, but we are on a recovery track,
which does not allow us to have a lot of reserve. We are implementing
recommendations by our accreditors, including an assessment plan and continuing
our master's program by increasing resources, space, and faculty. We are
committed to doing this, but we need to know from the Board about this particular
targeted goal. Our feeling is that to have the ability to award the master's
degree is essential to our continued growth and credibility with industry
and other partners," pointed out President Dow.

Ms. Christopher asked about plans for collaboration with other System
institutions. President Dow said that she and President Creighton have discussed
reactivating a teacher education program in which OIT would provide the technical
courses and EOU would provide the pedagogy. She added that EOU and PSU both
are involved at the OIT Metro Center in Clackamas. Concluding her remarks,
Dr. Dow shared that 15 of her staff have expressed interest in earning a
master's in management at OIT. She hopes to collaborate with President Reno
to bring that program to her campus.

Ms. Wustenberg asked about the effects of Klamath Community College on
enrollment. "I don't have direct statistics that say we've lost enrollment,"
reported Dr. Dow. "However," she continued, "it is a difficult situation
for me to project the future. With the right programs and right opportunities,
it will work."

"How can the Board best help you in accomplishing your goals?" asked President
Imeson.

Commending the Board for its past support, Dr. Dow said, "Be sure to let
us know how we're doing and keep our support coming in budgetary terms that
will let us transition into a new era. We can do it."

Responding to Mr. Lussier's question about OIT's vulnerabilities, President
Dow observed that economically, OIT is more susceptible that other institutions.
"Students are not being incented to pursue math and science backgrounds for
careers in science and technology," she said.

"Do you think there are opportunities to establish high school math and science
mentorship programs?" asked Mr. Koch. Noting that the few mentorship programs
already in place have brought students to OIT, President Dow said that resources
are an issue.

ADJOURNMENT

President Imeson and Chancellor Cox agreed to schedule an Executive Committee
meeting in February to discuss both the Chancellor's and President Risser's
goals and objectives.